County hopes federal measure will offer relief
The U.S. Senate passed a bill Tuesday that could send an estimated $7.6 million to Lincoln County for 2008, and more than $26 million through 2011.
The measure, known as the Baucus-Grassley tax extenders bill, reauthorizes funding to the Secure Rural Schools and Community Self-Determination Act of 2000.
“These programs are a lifeline for Montana’s communities,” said Sen. Max Baucus (D-Mont.). “They pump millions into schools, roads and community services.”
The SRS program compensates counties that have seen a decline in timber revenue.
The measure also has the potential to fully fund the separate Payments in Lieu of Taxes Program through 2011. PILT compensates counties that include nontaxable federal lands.
With its success in the Senate, the Baucus-Grassley bill now heads to the House for approval.
Funding for this act dried up in 2007, and Lincoln County commissioner Marianne Roose has been lobbying with the National Forest Schools and Counties Coalition this week in Washington, D.C. to secure funding for an additional four years.
Roose said she is on Capital Hill to “share the urgency needed for the funding of our schools and roads.”
She also commended Sen. Jon Tester (D-Mont.) as a “key player” in this issue, as well as Baucus, who is the chairman of the Senate Finance Committee and co-sponsor of the bill.
“This common sense legislation contains important provisions for Montana Š Communities all across Montana depend on Secure Rural Schools funding,” Tester said in a statement released Tuesday.
Roose suspected the Senate would pass the legislation and her time in D.C. has been spent lobbying representatives she calls “blue-dog democrats that carry key votes.”
She also sat down with Rep. Denny Rehberg (R-Mont.) to discuss passage in the House. Roose said Rehberg seemed cautious and “was concerned on whether there were enough offsets to pay for the legislation.”
However, Rehberg has already asked his colleagues for a one-year extension.
“It’s essential that Congressional leaders do not lose sight the unique needs of Montana’s rural communities,” Rehberg said. “This is about providing the best education for all our children.”
The SRS act was created specifically for counties like Lincoln, of which 78 percent is federal lands. This act provides assistance to rural counties affected by a decline in revenue from timer harvests on federal lands.
In 1908, a law was passed that created what is known as the 25-percent fund. The law came to fruition because counties with National Forest land, which is untaxed public lands, were hurting due to the decreased property tax base.
Through this fund, 25 percent of all revenue generated off federal lands would go back to the county. One-third of that money went to schools, and the remaining two-thirds went to county road maintenance.
Currently, the schools’ one-third goes into a state equalization education fund and is then distributed to schools statewide.
The SRS Act took an average of Forest Service revenues within specific counties to find an annual funding amount.
A county can only receive funding from the SRS or from the 25-percent fund – not both.
Through the fund, Lincoln County would receive only $645,000. Whereas, if the act is approved in the House, the county would qualify for millions.
“The long-term goal of this bill is to let us have management and revenue of our forests,” Roose said.